Human resources management system (HRMS) or human resources information system (HRIS) or human capital management (HCM) is software mostly cloud-based nowadays, commonly known as HR software is built up of a no of system and processes and ensures easy management of Hr related business processes and employee database.
HRMS  acts as a cloud-based platform for storing database and system which automates and simplifies many manually performed human resource management tasks. Technological advancement today had revolutionized every area of life and HR is no exception. Human resource management system encompasses

Payroll management
Recruitment and onboarding
Attendance and leave management
Employee self-service
Tracking and managing employee benefits
Performance management and appraisals
Employee reporting and analytics
Employee scheduling
Grievance management by reporting managers

Why organizations need HRMS?

From Top fortune companies to early-stage startups Human resource management software is used by almost everyone. It not only saves a lot of time, but it also makes data and management easy and reduces the chances of error and miscommunication. HRMS breaks bureaucracy which flattens the organizations and makes the workspace better.
Here is the list of some of the benefits HRMS can offer an organization:

With employee self-service or access of Employee to their portals with some permissions eg: access to edit their personal information will not save a lot of effort of HR professional but will save a lot of time.
Most HRMS comes with enough customization so that organizations can create their unique workflow according to their company need.
An easily accessible and secure cloud-based employee database management system makes information available at the fingertips of every employee in real-time.
With built-in security and authorization measures company data is in a more secure and protected digital environment.
Many HR Softwares nowadays comes with an inbuilt performance management system. That not only helps management in better analytics but also provides a platform for teams to communicate and work collaboratively on a project.

Common HRMS features and their functions

HR management software

Custom profiles: lets you create customized profiles for your tea
Document Management: Upload documents, set reminders, etc.
Centralized system: View your organization in a single view
Secure logins: data is stored in secure cloud-based servers.
Custom workflow: lets you create your workflow
Team management: creates a unique system according to organizational hierarchy.
Notifications: Notifies employees of certain events and tasks.
Tasks: you can assign tasks to employees.

Performance management software

Create & track goals: can assign a goal and set KPIs.
Succession planning: Understand behavioral dynamics observed
360-degree reviews: collect feedback from managers, peers, and customers.
Awards and recognition: Provide instant recognition to employees.
Employee engagement: helps you in attracting, engaging, nurturing, and retaining great talents.
Appraisals: Conducts periodic appraisals easily.
Performance dashboard: Real-time insights helps in maximizing employee performance.
Customizable reports: generate reports on everyday needs.

Payroll software

Full configuration: get automated payroll anytime.
Statutory reports: generate ESI, PF, IT returns, etc.
Easy to use: user-friendly interface makes it easy to use.
Integration with HR data: sync HR data for information required in payroll.
Diverse salary structure: Lets you create diverse salary slab for every employee.

Recruitment software

CV screening: upload and screen CV on the go.
Automatic sourcing: Find candidates automatically from various sources.
Track timeline: Create an automatic life cycle for the candidate.

How to select the right HRMS for your company?

Are you considering the right HR software for your organization and tired of searching the best HRMS software? Well, you are not alone. In short, no HRMS vendor is best or worst it just depends on which software right fits according to your needs. Though every HRtech firm tends to claim its software is superior and unique but at the end of the day, you will realize every company is offering the same dish on different plates.
The following rule of thumb would help you to select the right HRMS for your organization:
Educate yourself on features and functionalities.
Do some research and consider the combination of HRMS tools you need.
Check the customizability of software according to your business needs.

Trends in HR software

AI or artificial intelligence has almost incorporated in every sphere of technology. The scope of AI implementation in HR is increasing exponentially.AI can take many technological processes in HR technology to another level. Here is a list of some advancements driven by artificial intelligence in the HR tech space.
Intelligent chatbots backed by AI will Not only improve User experience but will also change the way HR interacts with candidates and employees. Chatbots will master in mimicking actual human behaviors and will save a lot of time of HR professionals in such interactions and will make better strategic decisions.
AI-enabled data translators will help in more insightful planning of pay packages and benefits by allowing companies to analyze a tremendous amount of data.
Ai powered simulated environment with virtual reality will flourish.
It has been proven in recent times that decision making will be greatly aided by AI.